Financial literacy class: The best investment tip of all? Start when you’re young

This article picked by a teacher with suggested questions is part of the Financial Times free schools access programme. Details/registration here.

Read below a selection of FT articles picked by financial literacy teachers with classroom questions/discussion points, mapped by theme. View the full selection here.

Also explore the classroom resources produced by the FT’s Financial Literacy and Inclusion Campaign charity.

Specification:

• Investing

Summary

The article discusses the importance of financial education for young people and the benefits of starting to invest early. Despite a push to improve financial literacy in schools, many young adults still lack basic money management skills.

It highlights that starting to save and invest early can have a big impact on future wealth, especially due to compound interest. Experts argue that a stronger focus on financial education in schools could better prepare young people for important financial decisions.

Click to read the article and then answer the questions:

The best investment tip of all? Start when you’re young

Questions

• How does compounding make your money grow faster over time?

• What are some benefits of starting to save or invest early in life?

• How do you think learning about topics like savings and investing could impact your future choices?

• If you wanted to explain the benefits of compounding to a friend, how would you describe it?

Tim Ranzetta, Next Gen Personal Finance